Sales of major appliances slipped into decline across Western Europe in 2022, after most countries had been seeing growth during the pandemic, often in both 2020 and 2021. Consumers returning to more out-of-home activities as societies were fully reopening in 2022 diverted spending away from the home, and, given many households bought new appliances during the pandemic, replacements were not yet needed. In addition, rising inflation has been putting pressure on consumers’ disposable incomes.
This report comes in PPT.
After two years of recording healthy growth rates, major appliances went into decline in Western Europe in 2022, perhaps “normalising” after the sales spikes seen during the pandemic, when people were spending more time at home, and had more disposable income to use on household goods as travel and leisure opportunities were limited. Some may therefore have brought forward potential purchases, which did not yet need to be replaced. In addition, the end of the historic period was proving a difficult time economically, with soaring inflation and continued supply chain disruptions.
In the UK, where the e-commerce sales share has reached two thirds of the market, local consumers have got used to browsing and comparing products online to locate the best possible price or deal, with many then also purchasing appliances online. With the regional share also getting ever closer to a third of sales, players are therefore increasingly employing omnichannel strategies, with some retailers increasingly using their physical outlets almost as showrooms as the shift online continues.
Sustainability is set to continue to emerge as an increasingly key theme with the ability to shape the direction of the industry over the forecast period. Households are expected to demand that manufacturers demonstrate their sustainability credentials in terms of energy-efficiency and/or resource usage. Innovations that optimise energy usage will find favour with consumers, while appliances produced using recycled materials will gain more prominence. Energy-efficient appliances will also be “on message” at a time when Europe has been experiencing spiking energy prices.
After the sales spike during the pandemic, followed by major appliances slipping into decline, a flatlining performance is expected for Western Europe in the later years of the forecast period. Increasing maturity in some of the bigger national markets will limit growth potential, although smart and connected products will continue to become more popular among European consumers.
Consumer Appliances is the aggregation of major appliances and small appliances. Major appliances are an aggregate of the following categories: refrigeration appliances, home laundry appliances, dishwashers, large cooking appliances and microwaves. Small appliances are an aggregation of the following categories: food preparation appliances, small cooking appliances, vacuum cleaners, irons, personal care appliances, heating appliances and air treatment appliances.See All of Our Definitions
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